Jiangsu Sinopep-Allsino Biopharmaceutical (SH:688076) GF SECURITIES·2024-06-21 02:01Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 80.49 CNY per share, indicating a potential upside from the current price of 72.80 CNY [25][24]. Core Insights - The company has a competitive advantage in the peptide drug sector due to its innovative synthesis strategies, which have significantly reduced production costs. For instance, the average sales cost of its liraglutide products decreased from 450.35 thousand CNY/kg in 2018 to 68.76 thousand CNY/kg in 2020 [22]. - The company is well-positioned in the peptide market, having established a comprehensive supply chain from intermediates to active pharmaceutical ingredients (APIs) and formulations [22][40]. - Future revenue growth is expected as the company's core peptide products gain traction with end customers, with projected net profits of 381 million CNY, 530 million CNY, and 695 million CNY for 2024, 2025, and 2026, respectively [24][51]. Financial Summary - The company reported a revenue of 1,034 million CNY in 2023, with a growth rate of 58.7% compared to the previous year. The projected revenues for the next three years are 1,887 million CNY in 2024, 2,441 million CNY in 2025, and 3,074 million CNY in 2026 [51]. - The net profit for 2023 was 163 million CNY, with an expected increase to 381 million CNY in 2024, reflecting a growth rate of 134% [51]. - The earnings per share (EPS) are projected to be 1.79 CNY in 2024, 2.49 CNY in 2025, and 3.26 CNY in 2026, with corresponding price-to-earnings (P/E) ratios of 40.70, 29.27, and 22.34 [24][51]. Industry Position - The company is recognized as the only listed entity among CDE registered enterprises in its sector, highlighting its unique market position [50]. - The company has successfully registered multiple products with the FDA, including liraglutide and semaglutide, which enhances its credibility and market access [50][42].